Zangge Mining Company (000408) Q2 2026 earnings summary

Executive summary

• Achieved revenue of ¥2.06 billion, up 23.05% year-over-year; net profit attributable to shareholders reached ¥3.64 billion, up 102.09% year-over-year.

• Main products are potassium chloride and lithium carbonate, with significant growth in lithium carbonate sales and profitability.

• Maintained strong cost control and operational efficiency, with improved gross margins in both core segments.

• Significant investment income from a 30.78% stake in a major copper mining affiliate, contributing 78% of net profit.

Financial highlights

• Revenue: ¥2.06 billion (+23.05% YoY); net profit: ¥3.64 billion (+102.09% YoY).

• Basic and diluted EPS: ¥2.32 (+101.74% YoY); gross margin: 66.86%.

• Operating cash flow: ¥984 million (+17.99% YoY); total assets: ¥18.60 billion (+5.14% from year-end).

• Investment income: ¥2.81 billion, mainly from copper affiliate.

Outlook and guidance

• Focus on expanding lithium and potassium production, advancing key projects, and further cost optimization.

• Plans to continue stable cash dividends and execute share buybacks to enhance shareholder returns.

• Ongoing efforts to secure overseas mining rights and accelerate project approvals, especially in Laos.